Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : LastShadow's Position Trading -- Ignore unavailable to you. Want to Upgrade?

To: Susan Saline who wrote (17146)	7/14/1999 1:04:00 AM
From: Jeff Jordan	Read Replies (1) \| Respond to of 43080

TSFW Susan, the chart looks very good....how do you find these bottoms? Atleast I'm pretty confident it will turn positive here. I will watch very closely tomorrow... Jeff

To: Susan Saline who wrote (17146)	7/14/1999 8:10:00 AM
From: Jay Lyons	Respond to of 43080

TSFW It had a nice two week run into last quarter's earnings, Sue, then sold off in the following days. Now that run started after a drop to fifteen, and I could do without that, you know? Here's what we'll do...there's only been one post to the TSFW thread this month, so we'll both go over there and post about ten times a day, the thread will immediatly go on the "Hot" list, people will read our "this stocks goin' to the moon" posts, they'll pile on, and we'll ride the swell of volume to untold riches. <G> Here's the article that got me interested in taking a position in the first place. >No domino theory: When one company in an industry implodes, it's often a matter of time before its competitors suffer the same fate. Yet money manager Scott Turkel of TCM Partners in Rowayton, Conn., no stranger to this column, doesn't expect that to be the case with TSI International Software (TSFW:Nasdaq), which is considered by Wall Street to be a direct competitor of New Era of Networks (NEON:Nasdaq). Yesterday New Era's stock tanked 56% to 19 7/16 after the company warned of an unexpected loss in the second quarter. TSI also slipped, but by only 9% to 23 1/4; Turkel says he had hoped it would have fallen more so he could have bought more. Why should we care about what what Turkel says? He's on this column's honor roll with A-pluses for his past mentions here of Verity (VRTY:Nasdaq) and Unify (UNFY:Nasdaq), when both were Wall Street outcasts. (They both have since zoomed.) He tends to like underdogs in arcane industries. TSI's claim to fame, for example, is a software that helps other software applications within a company to talk to one another as well as to databases and other platforms. In the old days of five or six years ago, companies had to hire programmers to link each program. Now this form of middleware, as it's often called, does it. "When you're looking for companies, you want to look at someone that three years from now will be a $700 million company where the market opportunity is enormous," he says. "What would I want to buy Colgate (CL:NYSE) for?" Fine, but what makes Turkel so confident that TSI won't go the same route as New Era? An important reason: He believes TSI has taken marketshare from New Era. TSI CFO Ira Gerard will only say that TSI has "replaced" Neon on several accounts, and that TSI only sees New Era on about 15% of its prospect list. TSI officials also say that unlike New Era, which has grown aggressively through acquisitions, most of TSI's growth has come from internally generated sales. New Era declined to comment on the market share issue. As a result, Turkel believes, TSI's revenue growth, operating margins and earnings growth will be sharply higher than most analyst estimates (52%, 15%, 61%, respectively, versus 44%, 13.2% and 50%.)<